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National News

Jan 13, 2019
1:47PM

Sushil Modi to head GoM on GST revenue shortfall faced by states

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Bihar Deputy Chief Minister Sushil Kumar Modi will head the seven-member Group of Ministers (GoM) to look into the revenue shortfall being faced by states following the roll out of Goods and Services Tax (GST).

The GST Council, headed by Finance Minister Arun Jaitley, had decided to set up the GoM at its meeting recently. As per a GST Council notification, the committee will suggest steps for augmenting collections. It will undertake data analysis and suggest measures for course correction.

Several states, including Bihar, Punjab, Himachal Pradesh, Uttarakhand, Jammu and Kashmir, Odisha and Gujarat are facing revenue shortfall.

The states have faced revenue shortfall in the range of 14 to 37 per cent in the April to November period.

Among the Union Territories, Puducherry is facing maximum shortfall of 43 per cent.

Of the 31 states, only Andhra Pradesh and five north eastern states -- Mizoram, Arunachal Pradesh, Manipur, Sikkim and Nagaland -- have recorded revenue increase post the GST roll out.

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